Contract Management (XCOM 0904)
Summer 2002 Term

Instructor : Charles E. Rumbaugh, J.D.

                        PO Box 2636

                        Rolling Hills, CA 90274

Phone :             310.373.1981

Fax :                 310.373.4182

Email :              ADROffice@

Course Description :

            In this course students will learn post-award, day-to day management of commercial and government contracts.  They will develop an in-depth understanding of how to manage a contract profitably and on schedule by dealing with specific administrative issues from the contract administrator and program manager’s viewpoint.  Topics will include management systems and subsystems; organization and ethics; property and data rights; subcontracting practices; Total Quality Management (TQM); financial management and funding; contract changes and dispute practices; contract closeout and terminations; international issues; and risk mitigation.

Objectives of the Course:

A.       Understanding the critical role that contract (commercial/government) formation has in having a quality contract/subcontract.

B.        Learning significant contract administration/management duties.

C.        Ascertain the importance of acceptance and warranty in fixed price contracting and its impact in having a quality contract/subcontract.

D.       Know the crucial aspects of international contract/subcontract formation/performance.

E.        Given a complex project/program, analyze and select effective techniques to monitor AND control the risk, quality, cost, and schedule performance for major contractors/subcontractors.

F.         Know the importance of “relationship” contracting and having a cost effective claim and contract change control system.  

G.        How to apply negotiating tools throughout contract management.

H.       Master the various aspects of successfully closing out a contract.

Textbooks and Materials :

Commercial Contract:  An introduction   Graw, LeRoy H. (Unpublished) Available by sending an e-mail message to instructor

Various handouts from the instructor. 

Students are encouraged to bring to class sessions “difficult” contract/subcontract clauses for class discussion.

Reference Textbooks and Materials:

Student should have available an “Acquisition” book(s) from previous classes or access to same.  Otherwise, Acquisition Management (ISBN 1-56726-128-0) by R. Marshall Engelbeck (2002) is recommended—publisher is Management Concepts, (703) 790-9595, <>.

Federal Acquisition Regulations <>

Optional Textbooks and Materials:

Library –Collection of various articles on topics related to Course Objectives that is maintained by the instructor and available each class for “borrowing”.

Getting to Yes – Negotiating Agreement Without Giving In

                        Fisher, Roger, Ury, William and Patton, Bruce

                        Houghton Mifflin Company 1991



            MidTerm/Final Exam                                    40%

            Class Participation                                        10%

            Class Project/Presentation                             50%


Extra credit (up to 5%) can be obtained by attending NCMA workshop(s).

Late submittals will result in a reduced grade.

92-100       A

81-91        B

70-80        C

60-69    D

0-59      F

            Letter Grades will be given for final course grade

2.        Students are expected to complete the weekly reading, homework, and/or other assignments BEFORE the beginning of the next class meeting(s).  This is essential because much of the discussion/participation in each class will be based upon the concepts presented in the assignments and as applied in case examples. Also, this is an opportunity for students to bring to class troublesome contract/subcontract clauses for class discussion/advice.  Homework assignments listed on a specific session are noted and are due the following session, e.g. homework listed under Session 1 will be expected to have been completed at the beginning of Session 2.

3. Confidentiality of class discussions (including association of same with particular private/public entities) must be respected by all the students.

4.  Midterm and final examinations cover the material discussed in class meetings, assigned readings, etc.  Examinations may include case analysis and essay questions.

5.  A “library” of readings is available from the instructor for the student to gain additional information and insight on the topic(s) and course objectives.  “Optional” readings are similarly provided and referred to in class lectures. 

Class Project

The purpose of the project is to provide each student with the opportunity to make the required management decisions  for a “selected” step(s) in the contract management process for a major contract/subcontract.  With prior instructor approval students can define projects/contracts that are of interest to them.  This provides the opportunity to apply the general contract management principles covered in the course to a specific contract/subcontract that is relevant to the professional “life” of the student. Specific instructions for the project will be provided in class.  The Project (graded) is due Session 9 with presentations on Session 9.

Course Schedule  

Session 1 – Contract Processes and Contract Management (Post-award) Introduction  

Session 2 - Managing the Contract (Performance) and Working With Customers/Contractors/Subcontractors.

Session 3 – Contract Performance (Continued) and Financial Management Monitoring       
Session 4 – Subcontracting/Socioeconomic Practices/Considerations  

Session 5 – Mid Term Exam

Session 6 –International Issues  

Session 7 – Other Clauses

Session 8 – Claims/ADR/Contract Closeout   

Session 9 – CLASS PROJECT DUE (Presentations)

Session 10 – Final Exam